Question Period Note: Gordie Howe International Bridge (Steel)

Is the construction of the Gordie Howe International Bridge project meeting the commitments of the Crossing Agreement related to the sourcing of iron and steel for the Project?

• Procurement of all iron and steel for the Gordie Howe International Bridge Project fully meets the terms of the Canada-Michigan Crossing Agreement, including using North American suppliers for the main bridge span and related US projects.

• Canadian suppliers will be providing iron and steel for the main bridge, as well as key components of the Canadian port of entry customs plaza.

• The project is supporting more than 150 Canadian businesses and creating thousands of jobs, with 2,400 Canadians engaged on the project.

Responsive :
* There are related project components, such as the approach to the bridge on the Canadian side, procured using an open and competitive procurement process.

• The private sector partner delivering the project expects to procure these other components shortly.
• The Windsor-Detroit Bridge Authority is responsible for project delivery and oversight and is ensuring all contractual obligations are respected.

• On June 15, 2012, the Government of Canada and the State of Michigan signed the Canada-Michigan Crossing Agreement which established the framework for Canada’s and Michigan’s roles and responsibilities for the Gordie Howe International Bridge Project.

• Under the Crossing Agreement, Canada committed to ensuring the Gordie Howe International Bridge Project meets certain U.S. federal aid eligibility requirements to enable Michigan to receive up to $2.2 billion US federal matching U.S. funds (to be used on other Michigan transportation projects).

• The federal aid eligibility requirements included “Buy America” requirements for iron and steel products. To ensure equal opportunity for Canadian steel producers, Canada negotiated a waiver to the Buy America requirements allowing for the use of both American and Canadian iron and steel products in the construction of the project.

• The approach bridge in Canada and the Canadian Port of Entry do not have any country of origin requirements, and are eligible for open procurement under the Crossing Agreement. The federal aid eligibility requirements apply to the main bridge, the U.S. approach bridge, the U.S. Port of Entry and the Interstate 75 interchange and not to the approach bridge in Canada or the Canadian Port of Entry. For all steel on any project component, stringent requirements for high standards of quality are applied ensuring durability and safety. To note, the Main Bridge as well as parts of the Canadian Port of Entry were sourced using Canadian Steel.

• The Gordie Howe International Bridge will be jointly owned by Canada and Michigan, and delivered by Windsor-Detroit Bridge Authority (WDBA), a non-agent Crown corporation, through a $5.7 billion, fixed-priced, public-private partnership (P3) with Bridging North America (BNA). Canada is funding the full amount with costs to be recouped from toll revenues.

• Construction is expected to be completed by the end of 2024. Potential schedule impacts due to COVID-19 are currently being assessed, but it will be several months before impacts are fully known including how the pandemic has affected supply chains for construction materials and related costs. Solutions to potential delays are being explored with BNA, the private sector partner.

• The project's P3 Project Agreement (contract) reflects Canada’s obligations under the Canada-Michigan Crossing Agreement. BNA, is responsible for procuring all materials required for construction. As counterparty to the Project Agreement, the WDBA is responsible for ensuring BNA meets all obligations under the P3 project agreement.

None